NASDAQ$PMTS
CPI Card Group Inc · Q4 2022 earnings
Q4 2022 earnings · · Investor relations
Briefing
CPI Card Group's Q4 2022 results were reported, showcasing strong sales and profitability growth.
CPI Card Group reported a strong fourth quarter with a 36% increase in net sales to $126 million and a 1,754% increase in net income to $12.5 million. The company's performance was driven by strong customer demand for contactless cards and SaaS-based instant issuance solutions.
- Net sales increased by 36% year-over-year to $126.4 million.
- Net income increased 1,754% to $12.5 million, or $1.06 diluted earnings per share.
- Adjusted EBITDA increased 100% to $27.2 million.
- Gross profit margin was 37.6%, compared to 33.2% in the prior year fourth quarter.
Headline financials
Revenue & EPS history
CPI Card Group · Revenue · Quarterly
$126M
Revenue by segment
CPI Card Group · $127M total across 2 segments · Q4 2022
- Debit and Credit$105M+35.5%82.6%
- Prepaid Debit$22.1M+39.2%17.4%
Forward guidance
The Company’s initial outlook for 2023 projects mid-single digit net sales growth, with higher growth for the Debit and Credit segment, which represented 82% of 2022 net sales, partially offset by expectations for Prepaid Debit segment sales to be similar to 2022 levels. The Company expects mid-to-high single digit Adjusted EBITDA growth for 2023, Free Cash Flow to more than double, and year-end Net Leverage Ratio improvement to between 2.5x and 3.0x.
Tailwinds
- The Company expects to continue to gain market share overall.
- The Company projects mid-single digit net sales growth.
- Higher growth for the Debit and Credit segment.
- Company expects mid-to-high single digit Adjusted EBITDA growth for 2023
- Free Cash Flow to more than double
Headwinds
- Anticipates market growth will not be as strong as 2022.
- Expectations for Prepaid Debit segment sales to be similar to 2022 levels.
- Chief Financial Officer Amintore Schenkel has informed the Company that he will be resigning from his position in 2023 due to family-related personal reasons.
- A deterioration in general economic conditions, including rising inflation and resulting in reduced consumer confidence and business spending, and a decline in consumer credit worthiness impacting demand for our products
- A disruption or other failure in our supply chain, including as a result of the Russia-Ukraine conflict and with respect to single source suppliers
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2022
-2.1%
Avg return
Earnings day
+0.7%
Avg return
5 days after
+9.6%
Avg return
30 days after
47%
21 / 45 earnings
Positive
+41.3%
Q4 2025
Best reaction
-48.9%
Q1 2016
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -6.5% | -8.8% | +3.7% | |
| Q4 2025 | +41.3% | +26.6% | +23.4% | |
| Q3 2025 | -20.3% | -21.3% | -18.5% | |
| Q1 2025 | +4.5% | -14.1% | -4.0% | |
| Q4 2024 | -6.7% | -11.6% | -16.8% | |
| Q3 2024 | +18.9% | +23.8% | +45.3% | |
| Q2 2024 | -10.8% | -1.8% | +1.2% | |
| Q1 2024 | +16.1% | +19.9% | +52.3% | |
| Q4 2023 | -18.8% | +2.4% | +0.8% | |
| Q3 2023 | -15.4% | -14.0% | +8.8% | |
| Q2 2023 | -3.8% | -4.2% | -15.0% | |
| Q1 2023 | -34.1% | -34.9% | -43.0% | |
| Q4 2022 | +20.7% | +9.0% | +28.5% | |
| Q3 2022 | +21.8% | +17.6% | +11.6% | |
| Q2 2022 | +7.0% | +10.8% | +4.3% | |
| Q1 2022 | +31.8% | +37.4% | +54.3% | |
| Q4 2021 | -5.7% | -0.6% | +17.2% | |
| Q3 2021 | -28.0% | -19.4% | -34.6% | |
| Q2 2021 | +0.3% | +20.6% | +76.0% | |
| Q1 2021 | +1.7% | +3.4% | +7.2% | |
| Q4 2020 | +40.1% | +28.5% | +102.3% | |
| Q3 2020 | +38.9% | +54.1% | +45.6% | |
| Q2 2020 | -23.6% | -28.8% | -43.0% | |
| Q1 2020 | +29.2% | +30.9% | +192.4% | |
| Q4 2019 | -1.9% | +10.1% | -19.0% | |
| Q3 2019 | -1.9% | -8.0% | -40.1% | |
| Q2 2019 | -3.7% | -3.3% | +21.7% | |
| Q1 2019 | +6.3% | +6.9% | +15.1% | |
| Q4 2018 | -1.9% | -3.7% | -12.7% | |
| Q3 2018 | -5.0% | -5.0% | -3.0% | |
| Q2 2018 | +18.0% | +14.7% | +61.6% | |
| Q1 2018 | -11.8% | -2.8% | +10.2% | |
| Q4 2017 | +1.6% | +0.3% | -19.8% | |
| Q3 2017 | -8.0% | -15.6% | -25.9% | |
| Q2 2017 | -42.9% | -60.7% | -65.7% | |
| Q1 2017 | -25.0% | -22.9% | -40.0% | |
| Q4 2016 | +4.4% | +0.0% | -6.7% | |
| Q3 2016 | -21.3% | -19.1% | -25.5% | |
| Q2 2016 | +3.6% | +8.8% | +25.0% | |
| Q1 2015 | -47.4% | — | — | |
| Q1 2016 | -48.9% | — | — | |
| Q2 2015 | +2.7% | — | — | |
| Q4 2015 | +1.4% | — | — | |
| Q3 2014 | +0.2% | — | — | |
| Q3 2015 | -11.3% | — | — | |
| Q4 2014 | — | — | — | |
| Q2 2014 | — | — | — | |
| Q1 2014 | — | — | — |
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